EU/S3/09/12/A

EUROPEAN AND EXTERNAL RELATIONS COMMITTEE

AGENDA

12th Meeting, 2009 (Session 3)

Tuesday 3 November 2009

The Committee will meet at 10.15 am in Committee Room 1.

1. Decision on taking business in private: The Committee will decide whether to take items 5 and 6 in private.

2. China Plan inquiry: The Committee will take evidence from—

Iain Smith MSP, Convener of the Economy, Energy and Tourism Committee.

3. European Union matters of importance to Scotland: The Committee will take evidence from the following Scottish MEPs—

Catherine Stihler MEP, and Ian Hudghton MEP, European Parliament.

4. Brussels Bulletin: The Committee will consider the Brussels Bulletin.

5. Impact of the financial crisis on EU support for economic development: The Committee will consider responses received to its report from the Scottish Government and the European Commission.

6. Treaty of Lisbon inquiry: The Committee will consider the approach to its inquiry.

Lynn Tullis / Simon Watkins Clerks to the European and External Relations Committee Room TG.01 The Scottish Parliament Edinburgh Tel: 0131 348 5234 Email: [email protected]; [email protected] EU/S3/09/12/A

The papers for this meeting are as follows—

Agenda Item 2

Paper from the Clerk EU/S3/09/12/1

Agenda Item 3

Paper from the Clerk EU/S3/09/12/2

Agenda Item 4

Brussels Bulletin EU/S3/09/12/3

Agenda Item 5

Paper from the Clerk (Private Paper) EU/S3/09/12/4 (P)

Agenda Item 6

Paper from the Clerk (Private Paper) EU/S3/09/12/5 (P)

EU/S3/09/12/1

European and External Relations Committee

12th Meeting, 2009 (Session 3), Tuesday, 3 November 2009

China Plan inquiry

Background

1. The Committee published its report on the inquiry into the Scottish Government’s China Plan on 10 October 2009. The main findings of the Committee’s inquiry into the Scottish Government’s China Plan are included at Annexe A.

Economy, Energy and Tourism Committee

2. As part of its inquiry into international trade, Iain Smith MSP, Convener of the Economy, Energy and Tourism Committee, attended a SDI-led trade mission to China on 17-23 October 2009. The Committee’s inquiry will consider how the public sector supports Scottish businesses in trading internationally and how inward investment is attracted.

3. The Economy, Energy and Tourism Committee’s participation on the trade mission was arranged with a view to better understanding how Scottish companies find the support offered by SDI and also what the recipients of any trade mission feel are the benefits.

4. The Convener of the Economy, Energy and Tourism Committee has been invited to give evidence on his views and experiences during the trade mission to China.

Committee Clerk November 2009

1

EU/S3/09/12/1 Annexe A Extract from the Committee’s 3rd Report, 2009 (Session 3): Inquiry into the Scottish Government’s China Plan (SP Paper 326)

SUMMARY OF CONCLUSIONS AND RECOMMENDATIONS

Coverage of the China Plan (paragraphs 13-35)

The Committee believes that it is difficult to underestimate the importance of China as either an economic or political force in the future. It therefore welcomes the Scottish Government’s refreshed China Plan and the commitment of successive Scottish Governments to engage more with China.

The Committee agrees that Scotland needs a China Plan and welcomes the China Plan’s focus on particular sectors and areas of expertise where Scotland has a true competitive edge in the global market. However, the Committee finds that the China Plan is lacking in some specific targets and falls short in some aspects of implementation.

The Committee believes that the China Plan needs to connect with the wider UK strategy for engagement with China. There is no evidence that this has been achieved.

The Committee welcomes the Scottish Government’s commitment to build on the links established by the previous Scottish administration in Shandong Province, but is unclear as to what tangible progress has been made in this respect.

Objectives and targets of the China Plan (paragraphs 36-45)

The China Plan needs some specific and ambitious targets. Too many of the existing targets seek only to “increase” activity. The Committee believes that there should be targets for business and academic collaboration and for attracting Chinese students to Scotland.

The Committee is also concerned about the lack of financial information included in the China Plan and the lack of baseline figures for a number of objectives. The Committee recommends that the China Plan is revised to take account of these points, which will enable the delivery of the Plan to be properly measured and assessed in future.

Implementation of the China Plan (paragraphs 46-95)

The Committee has received significant evidence that the strategy outlined in the China Plan is not being delivered in a number of aspects—

• Scotland has not yet established ‘visibility’ in China;

• criticisms have been made of the ability of business support agencies, particularly Scottish Development International, to support Scottish businesses in China;

2

EU/S3/09/12/1 Annexe A • there appears to be an appetite amongst larger Scottish businesses to mentor smaller ones on trading with China, but this has not been exploited to date;

• Scottish colleges are not on the list of recognised education providers, which disadvantages them in the Chinese market;

• more support requires to be given to Scottish tourism businesses to give them the capacity to handle Chinese tourists, for example, the creation and distribution of ‘China-ready’ kits and accreditation with the China National Tourism Administration;

• there are no direct flights between Scotland and China and, although the opportunity currently exists to develop them, this has not yet been taken up by the Scottish Government;

• there is an opportunity for more sharing of experience of working with China, particularly amongst local authorities and through cross-sector working groups; and

• there is scope to involve stakeholders more in the development of the Plan, particularly the ethnic Chinese business community in Scotland and Scottish SMEs.

Other issues (paragraphs 96-117)

The Committee recognises the particular situation in China where carrying out business requires political support and underpinning. The Committee considers, therefore, that there is a significant role for politicians in supporting the links which businesses, universities, colleges, local authorities and others are seeking to make with China.

The Committee supports the work that Ministers from both the UK and Scottish Governments have undertaken in supporting trade missions to China and sees a continued need for such support if Scotland’s profile is to be raised.

The Committee firmly believes that there is an obligation on politicians and indeed all those who do business with China to continue to raise the issue of the Chinese Government’s record on human rights. The Committee welcomes the Scottish Government’s commitment set out in the China Plan to continue to raise concerns about human rights issues in China and urges the Government to continue to promote such issues at every available opportunity.

3

EU/S3/09/12/2

European and External Relations Committee

12th Meeting, 2009 (Session 3), Tuesday, 3 November 2009

European Union matters of importance to Scotland

Background

1. At its meeting on 29 September 2009 the Committee considered the third Special Edition of the Brussels Bulletin. This Special Edition, attached as Annexe A, addressed the views of the six Scottish MEPs on the key issues of importance to Scotland likely to emerge within the new EU parliamentary term.

2. All Scottish MEPs were invited to give oral evidence to the Committee by video conference on the views expressed in the Special Edition. Catherine Stihler MEP and Ian Hudghton MEP will attend to give evidence.

Recommendation

3. The Committee is invited to consider the views addressed in the third Special Edition of the Brussels Bulletin and in particular the views of the MEPs giving oral evidence.

Committee Clerk November 2009

1

SUPPLEMENT SEPTEMBER 2009

IN THIS SUPPLEMENT: The new Parliament

Introduction. Over the past 30 years, The view from Scotland’s MEPs since the first EU elections, the European Parliament has gained in power. The Alyn Smith reforms embedded in the Lisbon Treaty Ian Hudghton would see these powers extended still Struan Stevenson further, with co-decision becoming the George Lyon ‘ordinary legislative procedure’. Despite Catherine Stihler the increase in power and influence of the Parliament, voter turnout continues to fall, David Martin while many European citizens still see the ballot as a national poll on the success or Contact details otherwise of the party in government.

The Political Groups. The new Parliament has 736 MEPs in total (down Confederal Group of the European United from 785 in the last Parliament) of which Left/Nordic Green Left (GUE/NGL) has 32 72 are from the UK. Following the June MEPs. Together they have 30% of the poll, there are now seven political groups voting power of the Parliament

in the Parliament (see table on page 2). The Alliance of Liberal and Democrats for Political groups are different from political Europe (ALDE), which includes the UK parties, since they must cross national Liberal Democrats, obtained 84 seats, boundaries. The groups therefore can while the Greens/European Free Alliance unite a diverse range of parties. Group (which includes the SNP) has 53

The new Parliament is dominated by MEPs. parties of the right - the European People’s Party (EPP), the new group of Prominent British MEPs. Within the European Conservatives and Reformists different political groups, three UK MEPs (ECR) which the British Conservative Party have been elected to senior positions: founded, and the Europe of Freedom and Nigel Farage chairs the EFD Group; Democracy Group (EFD) together Stephen Hughes (S&D, UK) as Vice- constitute almost 50% of the seats. President of the S&D group responsible for economic and social policy; and Jill Evans The Alliance of Socialists and Democrats (Greens/EFA, UK) as First Vice-President in Europe (S&D), which includes the of the Greens/EFA group. British Labour Party, has 161 MEPs (down from 215 in the previous Parliament). The

BRUSSELS BULLETIN

2

Number % of Political group of seats seats Group of the European People's Party (Christian EPP 265 36 Democrats) Group of the Progressive Alliance of Socialists and S&D 184 25 Democrats ALDE Group of the Alliance of Liberals and Democrats for Europe 84 11.4 GREENS/ Group of the Greens/European Free Alliance 55 7.5 EFA ECR European Conservatives and Reformists Group 54 7.3 Confederal Group of the European United Left - Nordic GUE/NGL 35 4.8 Green Left EFD Europe of Freedom and Democracy Group 32 4.3 NA Non Aligned 27 3.7

Two of the Parliament’s Vice Presidents are British, Diana Wallis (ALDE) and The New Parliament supplement. The Edward McMillan Scott (NA). purpose of this supplement is to provide an opportunity for each of Scotland’s Two of the Parliament’s 24 committees Members of the European Parliament to are chaired by British MEPs: Sharon outline what they consider to be the key Bowles (ALDE) chairs the Economic and issues of importance to Scotland likely to Monetary Affairs (ECON) committee and unfold over the next Parliamentary term. Malcolm Harbour (ECR) chairs the Internal Market and Consumer Protection (IMCO) The following articles by Scotland’s MEPs committee. are wide-ranging in their scope and analysis. Certain key issues do appear Scottish MEPs. Scotland’s representation throughout the submissions though, in the European Parliament fell from seven including: to six at the June election. • The implications of the Lisbon Treaty for the Parliament and the The party representation is: EU; • Scottish National Party • Climate change and energy Alyn Smith and Ian Hudghton security; • Reform of the CAP and the CFP; • Scottish Labour Party and Catherine Stihler and David Martin • The likely implications of budget • Scottish Conservative Party reform. Struan Stevenson

• Scottish Liberal Democrats Dr Ian Duncan George Lyon. Scottish Parliament Office

Brussels

BRUSSELS BULLETIN

3

ALYN SMITH MEP

Scottish National Party

First elected to Parliament 2004

Member Agriculture & Rural Development Committee

Substitute Member Culture and Education Committee Constitutional Affairs Committee

Scotland in Europe 2009 – 2014 streams.

2009 to 2014 will be no quiet time for My focus remains Agriculture, as a the European Parliament. Negotiation of continuing full member of the Agriculture the 2013 budget, drastic overhaul of the Committee. Although the Common Common Agricultural Policy and the Agricultural Policy’s dominance over EU possible changes that will come into spending is likely to decrease from its force should the Lisbon Treaty be ratified current level of over 40 percent of the are only a few of the massive total budget with the next set of transformations on the horizon for the reforms, it remains an important focus European Union. With a recession for Scots with our prominent agricultural impacting on all of the EU’s member sector. Certainly it will be high on my states, competition over funding will be priorities as the discussions in the even fiercer than usual and Scotland’s Agricultural Committee gear up towards representatives have to be on the ball to this. Scotland’s rural economy has ensure that this country receives the unique needs and it is vital that our best possible deal. specific interests are addressed in EU reforms. Any reforms should put food With the accession of the newest production and other public benefits at member states, the division of European their core. The SNP position is clear - the funding has swung eastwards. The UK government must rethink their structural fund programmes which have preference for phasing out pillar 1 of previously been of such huge benefit to CAP support. the development of deprived pockets of Western Europe are now working their Certainly, the possible ratification of the magic on the other side of the EU and Lisbon Treaty will alter the political are likely to remain there until current landscape of the European Union in no regional disparities have evened out. So small way. The introduction of co- with this reduction in budgets available decision as the ordinary legislative to Scotland, greater emphasis is placed procedure of the Agriculture Committee on accessing alternative funding will hand the committee increased

BRUSSELS BULLETIN

4

authority as a joint legislator on reforms to this policy. I was a full agriculture, putting Scotland’s MEPs in a member of the Delegation for Relations key position to fight for the best possible with EEA/EFTA in the last mandate, and deal for this country. Co-decision is continue my membership there, albeit is though something of a double edged as substitute member I envisage sword as we will likely spend more time continuing an active interest in our submerged in the minutiae rather than closest European, albeit not EU, the big picture, so we watch Ireland with neighbours. As a new full member of interest and envy a country considerably the Delegation for relations with the smaller than Scotland having such clout. Arabian Peninsula I look forward to building contacts there with fellow oil On a wider note, whatever happens in producing states, and having grown up Ireland there will be I believe a need for in the Middle East have at least some acclimatising and adapting - as the familiarity with the political geography of mechanics change between the different the region, if not yet the Delegation bodies of the EU then there will need to itself. be a certain degree of fine tuning, probably both formally and informally, Energy policy will of course remain a as the institutions interpret the core focus, albeit I have relinquished my legislation and get to grips with their membership of the Energy new roles. As a new alternate member Committee. Of crucial importance to of the Constitutional Affairs Committee I Scotland in this unsettled economic should have some locus to get into these climate is the creation of the North Sea logistical issues. Likewise, as a new Supergrid, and other practical ways we alternate member of the Education and can use the EU's wider objectives to Culture Committee I am looking to get assist the kicking on of Scotland's green into ERASMUS and other exchanges, as I power revolution. Scotland has won the believe Scotland could yet do green energy lottery in terms of the considerably better than we do to access renewable options open to us – what I these budgets; and cultural policy is an now want to see is the Scottish area where I think Scotland has a great Parliament being given the power to deal to give as well as learn from our make the most of our potential. colleagues and friends.

The next five years may also see the entry of Iceland into the EU. Personally I would be delighted to see Iceland join our family of nations, and I am sure that their accession would be all but a formality, except for the EU's disastrous fisheries policy. However, the consultation on the Green Paper on the future of the Common Fisheries Policy offers us scope for major changes and with the added incentive of possible Icelandic membership, I hope the European Commission make good their previous murmurings on significant

BRUSSELS BULLETIN

5

IAN HUDGHTON MEP

Scottish National Party

First elected to Parliament 1998

Member Fisheries Committee Regional Development Committee

Substitute Member Internal Market and Consumer Protection Committee

Shortly after the June elections, 736 for the EU to return management MEPs from 27 EU Member States met in powers over fisheries to Europe's Strasbourg to kick start another five- maritime nations. year legislative term. The occasion Even the European Commission now marked the 30th anniversary of the first admits that root and branch reform is direct elections to the European necessary. The challenge for Scotland is Parliament, held in 1979, in which to make our input result in a radical shift Winnie Ewing memorably won the of power away from the over centralised Highlands and Islands constituency. CFP to management power resting with The role of the European Parliament has Europe's fishing nations, working strengthened significantly over those 30 together to conserve the resource for years, with full co-decision power in their own long term benefit. many policy areas meaning that our Plans to engage with national input ranks equally with the Council of parliaments are welcome and would Ministers. If the Lisbon Treaty is allow parliamentarians from Europe's eventually adopted co-decision powers fishing communities to have their say. In will be extended to many more Brussels the term ‘National’ parliaments competences, including Agriculture and is usually taken to mean member state Fisheries policy. parliaments. I will be demanding that

Our Fisheries Committee intends to the Scottish Parliament's voice is directly organise a joint meeting with relevant heard in Brussels in the coming CFP committees from ‘National’ parliaments debates, on behalf of our fishing throughout the EU, as part of the communities. ongoing Common Fisheries Policy The Internal Market & Consumer review, which of immense importance Protection Committee will soon be Scotland's coastal and island considering a proposed Directive communities. After over three decades designed to reduce late payments of of failure, I firmly believe that it's time

BRUSSELS BULLETIN

6

invoices, and to discourage such late 3.5 tonnes, supposedly to 'internalise payments especially in cross-border the external costs' of air pollution, noise commercial transactions. Most pollution and, to a limited extent, businesses will be only too well aware of congestion. The amount charged would the problems caused by late payment of vary according to factors like the time of money due for goods or services. day and the type of road, with maximum Although much of the necessary action caps to the charge. can and should be taken at domestic Eurovignette is basically a policy level within Scotland, or the UK, there designed for central Europe, which gets are many traders around Scotland, for a lot of "through" freight traffic, and thus example in food and drink industries, a differentiated charge may be quite who sell across the EU market place. useful for alleviating their problems. On The Committee is also about to begin the other hand, it is not so good for work on important legislation on countries like Scotland, where "through" consumer rights in general. The traffic is not a big issue, and where European Commission has proposed a hauliers have to travel longer distances Consumer Rights directive which will on domestic routes. A charge thus affect some 500 million consumers would add to the (already higher) across the EU. It is right that action is haulage costs and put our hauliers at a taken at the EU level as, with increased competitive disadvantage. mobility as well as the popularity of I have argued against the proposal, not online shopping, consumers are least because I believe that decisions on increasingly entering into transactions of these matters should be made at a local a cross-border nature. level, not European, and that in our case Nevertheless, domestic consumer charging is simply the wrong approach. legislation still plays a vital role in At First Reading, MEPs voted to keep protecting members of the public. Local such charges voluntary, not mandatory, trading standards officers for example but we must remain alert to the are often in the frontline of consumer interests of rural and island Scotland as protection. Their role is an important the debate trundles on. one and, while EU initiatives are welcome, consumer laws should also reflect more localised needs. As the EU gets down to revising consumer laws, it's time for the Scottish Parliament to gain full powers over this important area. Consumer protection already operates within the separate Scottish legal system, so it seems logical that Holyrood controls the national policy detail.

The current revision of the 'Eurovignette' directive has passed First Reading in the European Parliament. The idea is to levy charges on heavy goods vehicles of over

BRUSSELS BULLETIN

7

STRUAN STEVENSON MEP

Conservative Party

First elected to Parliament 1999

Member Fisheries Committee (Vice President)

Substitute Member Environment, Public Health and Food Safety Committee

Following the June elections, the new A ‘yes’ vote would see the Lisbon Treaty parliamentary session is in full swing. come into force on 1st January 2010, With six plenary sessions before provided it is finally signed off by the Christmas, there is plenty on the agenda Presidents of Germany, Poland and the for the European Parliament’s 736 Czech Republic, who have so far elected MEPs. withheld their signatures despite parliamentary approval in those High on the programme is the imminent countries. If adopted this time round, it need to appoint a new Commission will have massive implications on President and a new team of 26 Member States and will transfer a raft of Commissioners. The Portuguese new legislative powers to Brussels. Conservative, Jose Manuel Barroso, is front-runner to be elected president of The Lisbon Treaty, previously known as the Commission for his second the European Constitution, will transfer successive 5-year term. Additionally, exclusive legislative powers on a number MEPs will attend the Copenhagen climate of key sectors including fishing. Much summit in December to agree a deal on fisheries policy will therefore fall outside limiting CO2 emissions. We also have the jurisdiction of individual Member key debates underway on the Common States, with many decisions continuing Agricultural Policy budget and the to be made by the Council of Ministers. redefinition of less favoured area For many Scottish fishing communities support schemes as well as the complete this would be the final nail in the coffin reform of the Common Fisheries Policy. for an industry that has suffered years of But, the big issue instrumental in quota cuts, catch restrictions, de- shaping European politics this year and commissioning, lay-offs, tie-ups, beyond will clearly be the Lisbon Treaty. emergency closures and redundancies. All eyes will be focused on Ireland as it There is a long overdue opportunity for a takes to the polls on the 2nd October in radical overhaul of the management its second referendum. regime which has seen thousands of

BRUSSELS BULLETIN

8

Scottish jobs destroyed. in order to construct giant wind-turbines is

The publication of the European wholly counter-productive and can lead to Commission’s Green Paper on the future the release of more CO2 into the of the Common Fisheries Policy in April of atmosphere than the wind farms will ever this year has clearly indicated that the save. Proper siting of wind farms will have to become a priority. micro-management by Eurocrats has failed. A revamp of the fishing industry is Furthermore, Europe will play a key role in needed. the Copenhagen Climate Change

With the public consultation in full flow, Conference in December. The conference the reform aims to address the problems will focus on agreeing a new climate facing Scotland and Europe’s fishing change treaty as a successor to the Kyoto industries. protocol. The first phase of Kyoto expires in 2012. By working closely with those in the industry we can ensure that the policy is There is clearly a lot to do in this current easier to administer. Our role as MEPs session. We are already driving a number should always be to help the free flow of of key issues through Parliament. The trade and it should be up to the fishermen Lisbon Treaty, however, will certainly to manage and control their day to day dominate the headlines for the business. foreseeable future.

External factors such as climate change, which has already brought about an increase of 1 degree C in the temperature of the North Sea, according to a recent report published in the Proceedings of the Royal Society Biological Sciences Journal, will play a crucial role in fisheries policy.

Climate change is one of the biggest challenges currently facing mankind. Scotland has the opportunity to lead the way in setting the climate change agenda and will be instrumental, with the EU, in achieving the European Parliament’s Climate and Energy Package targets by 2020. Scotland’s natural resources could generate over a quarter of the EU’s wind, wave and tidal power with Scotland already surpassing its target of 31% of electricity generated from renewables by 2011.

However, the Scottish government needs to take a more co-ordinated approach to the siting of wind farms. Destroying large tracts of forestry and disturbing peat bogs

BRUSSELS BULLETIN

9

GEORGE LYON MEP

Liberal Democratic Party

First elected to Parliament 2009

Member Agriculture & Rural Development Committee

Substitute Member Internal Market and Consumer Protection Committee

Being elected as Scotland’s Liberal out for.

Democrat representative in Europe is both Take climate change as an example. As an honour and great responsibility. As the Scotland’s liberal MEP I will fight for the only new face in a team of six MEPs that UK’s share of European Energy Recovery will fight for Scotland’s interests over the Programme funding to develop carbon next five years there is a great capture and storage technology to be opportunity to bring about change from awarded to Scotland. If successful, this the inside. would not only create jobs but make My overriding priority over the next five Scotland a centre of excellence for this years will be to transform the way the new and important technology. work of the European Parliament is seen By using the European Parliament and and to the change the way Scotland’s MEPs effectively it is possible to bring real MEPs interact with the public. benefits to places across Scotland through

How many people have met their MEP? jobs and investment. That is what Europe How many can even name their MEP? I can do for Scotland. It is up to MEPs to have little doubt that the number will be ensure it happens and I, for one, am up less than the 736 MEPs who have just for the challenge been elected to the new Parliament.

This is a shocking state of affairs and we must let it be shrugged off as ‘just one of those things’. It is not good enough for me and should not be good enough for anyone who believes in democracy.

The European Parliament is not perfect; it is a bureaucratic behemoth and radical reform is needed, but we should not abandon it as a platform to bring about the change that constituents are crying

BRUSSELS BULLETIN

10

CATHERINE STIHLER MEP

Labour Party

First elected to Parliament 1999

Member Internal Market and Consumer Protection Committee

Substitute Member Economic and Monetary Affairs

Today millions of people –across the EU – Scotland is an issue that has come to fore are affected by a whole host of global during the latter part of the 20th, and the problems, which ultimately require global beginning of the 21st century. The fear of solutions. In the age of globalisation and peak oil, steep oil prices and the known after sixty years of progressive European consequences of climate change, has integration, these challenges cannot be driven the subject of renewable energy met by national governments alone. high up the political agenda in the There are no ‘Scotland-only’ solutions to European Parliament. We all rely on global problems. We need to find real energy one way or another; for transport, solutions for serious problems facing heating, lighting and entertainment. Scotland, challenges such as high However, all of us know that fossil fuels unemployment, the growing divide are a finite source and a major contributor between the rich and the poor, persistent toward climate change. Thankfully, at the gender inequality and the environment. EU level, energy policy is at the heart of Labour in Europe believe in building a New climate change action. On January 28 Social Europe which eradicates entrenched 2009, the European Commission unveiled inequalities and more progress toward a a position paper, ‘Towards A fair and just society. Everyone in Comprehensive Climate Agreement in Scotland, and across the EU, deserves to Copenhagen’. The UN Climate Change live in a society where they can fully Conference in Copenhagen this December develop their potential and talent, due to will give EU leaders the opportunity to ever-improving living standards, economic advance global efforts in the fight against opportunities, and a safe and clean climate change and use their negotiating environment. In recent years, the position to do so. majority of MEPs have been calling for the In December 2008 the European EU to take decisive steps with a review to Parliament gave its backing to the most combat climate change – the single ambitious reform ever of European energy greatest threat to humanity. Along with policy. The new climate and energy the financial crisis, it remains one of the package will lead to a 20% cut in Parliament’s top priorities for 2009 – greenhouse gas emissions by 2020 2014. (compared with 1990 levels), a 20% The production of renewable energy in increase in the use of renewable energy

BRUSSELS BULLETIN

11

sources, and a 20% cut in energy funding programmes which undoubtedly consumption through improved energy have strengthened our economic position efficiency by 2020. The far-reaching in Europe and enabled communities across package aims to make Europe the leader the country to prosper and thrive. Such in renewable energy technologies and I funding opportunities may not have been am delighted that the European possible if we were to solely rely on our Parliament adopted a sense of urgency ‘home-grown’ funds. The EEPR funding is over this much needed package. in line with EU priorities for sustainable economic growth, job creation and An integral part of the EU’s economic stability, and improving living standards recovery plan, is a major investment in for all. the construction of gas and electricity infrastructure, offshore wind farms and More than ever before, it is crucial that we the advancement of carbon capture and make the most out of our natural storage. The European Council and the resources and work collectively, as Parliament this year reached an Europeans, toward saving the planet for agreement on the European Energy ourselves and future generations. After Programme for Recovery (EEPR). For the all, the climate is changing and so must period 2009 – 2010, roughly €4billion we. Without a shadow of doubt, climate (£3.5b) has been allocated toward key change and how we tackle it will remain a energy project across Europe. A key priority for the European Parliament proportion of the total has been allocated during the course of the next toward the UK. It is anticipated that the parliamentary term. We must work Commission will sign off the first grants by together with our European partners to the end of 2009. develop a solid framework for tackling climate change in the post-Koyoto era and In July of this year I endorsed Scottish develop an integrated and effective Power Consortium’s bid for €180m energy policy. (£160m) of EEPR funding. Scottish Power is expertly placed to help stimulate the low carbon industry. The acceleration of research into carbon capture and storage will go a long way toward delivering substantial environmental and economic benefits. Many experts in the field of science and technology have stated that a carbon transportation and storage hub could be created in the North Sea to help mitigate the contribution of CO2 emissions to the global warming crisis.

It is clear that the ambitious EEPR funding has the potential to help both Scotland and the UK meet its climate change targets, and help the country to emerge stronger from the economic downturn. As part of the EU, Scotland and the rest of the UK continue to benefit from generous

BRUSSELS BULLETIN

12

DAVID MARTIN MEP

Labour Party

First elected to Parliament 1984

Member International Trade Committee Human Rights Subcommittee

Substitute Member Constitutional Affairs Committee

As the European Parliament begins a to deliver real progress in employment, new 5 year term, the impact of the the environment and social policy. elections in June can clearly be felt. Top As a member of the Constitutional of the priority list, across all political Affairs committee of the Parliament, I representations in Brussels and have followed closely the development Scotland, should be our shared of the Treaty of Lisbon. The new Treaty endeavour to promote employment and achieves the much-needed institutional the social agenda in the European Union 'tidy-up' within the Union, simplifying and at home. The challenges facing us in the decision-making process and clearly the next 5 years can only be addressed establishing the division of competencies through collaboration between the between the EU and national European Parliament, the UK parliaments. The European Parliament Government, the Scottish Executive and will enhance its role in areas such as the electorate. Given the apathy which freedom, security, justice and characterised the June elections, it is international trade, as the co-decision vital, now more than ever, that we work procedure - requiring power sharing together to deepen understanding about between the Council of Ministers and the the opportunities the European European Parliament - is extended. This Parliament affords the Scottish is an important reform for the electorate. Parliament and the electorate, giving the Two of the most immediate issues facing electorate a more powerful voice in the the Union are the reappointment of the legislative procedure through their Commission and the upcoming Irish elected representatives in the European referendum on the Treaty of Lisbon. Parliament. The proposed Citizens' While I congratulate Mr Barroso on his Initiative allows groups of citizens re-election as President of the throughout Europe to submit policy Commission, we in the European proposals directly to the Commission, Parliamentary Labour Party and the giving the electorate the strongest voice Socialist and Democrat Group will watch it has ever had in direct participation in closely as Mr Barroso forms the new the Union. Commission, and will judge the Scotland is perhaps more aware than Commission based on its commitments many parts of the EU of the importance

BRUSSELS BULLETIN

13

of constitutional reform and the division the economy and open external of competencies, and the Scottish markets, we hope to achieve Europe's Parliament in particular can appreciate aim of creating more and better jobs in the ways in which constitutional and the most dynamic economy, while institutional reform can strengthen the affording workers genuine social democratic process. The idea of provisions and protections. decisions being taken at the most My work on the International Trade appropriate level is fundamental to both committee and Human Rights sub- the European Union and the Scottish committee focus strongly on Parliament, and will become even more international development: an issue of important post-Lisbon. It is vital that we great importance to many in Scotland. work closely together, not only on We also face great challenges in matters of policy, but together to raise concluding negotiations on Economic awareness of European representation Partnership Agreements with the and European policy in general. developing world, designed to eradicate Traditionally, Scotland has been most poverty and integrate developing directly affected by policies such as countries into the world economy. As agriculture and fisheries. While these international development is not a continue to be of great importance, devolved issue, the European Scotland has increasing relevance in Parliament's work in this area provides a external affairs. The International Trade direct platform for all those in Scotland, committee - of which I am a member - including the Scottish Parliament, civil has a challenging 5 years ahead of it, in society and NGOs, to contribute to our which we continue to negotiate various efforts in poverty eradication. Free Trade Agreements with countries As we head towards the European Week such as South Korea, India and many of Regions and Cities in October, the Latin American countries. The coming impact European policies have on parliamentary term will see the ongoing Scotland can clearly be seen. The preparatory work, as well as, hopefully, upcoming parliamentary terms in the conclusion of several negotiations. Edinburgh and Brussels face many Free Trade Agreements provide common issues: continuing anti-poverty significant advantages for Scotland, work across Europe and the developing opening up external markets and world; tackling climate change and eliminating tariffs for products such as meeting robust long-term targets; and Scottish whisky. The impact of such mainstreaming environmental Agreements will be enormous for protection, gender equality and human Scotland, and I strongly support their rights across all policy areas. At a time timely completion. The uncertainty of when democracy is being strengthened the economy and the labour market is a within the European Parliament, the serious issue for Scotland, and over the Scottish electorate has an next 5 years the European Parliamentary unprecedented opportunity to directly Labour Party and the Socialists and contribute to the Union's work. Democrats Group has pledged to make employment and the social agenda our central focus in Europe. By working towards Agreements which will stimulate

BRUSSELS BULLETIN

14

CONTACT DETAILS

Dr Ian Duncan Rond Point Schuman 6 B – 1040 Bruxelles

Tel: 0032 2282 8377 Fax: 0032 2282 8379

Email: [email protected]

EU/S3/09/12/3

European and External Relations Committee

12th Meeting, 2009 (Session 3), Tuesday, 3 November 2009

Brussels Bulletin

Background

1. The Committee has agreed to include the Brussels Bulletin on its regular committee meeting agendas. The latest Brussels Bulletin – Issue 33 is attached at Annexe A.

Purpose of the Brussels Bulletin

2. As Members will be aware, the Brussels Bulletin is produced by the Parliament’s European Officer and is based on the key themes identified by the Committee as a result of its consultation on the Commission’s Legislative and Work Programme for 2009. At its meeting on 31 March 2009, the Committee agreed that the European Officer should focus on five key themes over the coming year:

• Economic and Social Issues • Energy and Climate Change • Rural Affairs (including maritime) • Structural/Reform issues • Justice

3. The European Officer provides early intelligence on expected developments, actions of the key players and detail of debate on these key themes, primarily through the Brussels Bulletin. This is circulated to the subject committees and published on the website. More detailed briefing can also be commissioned by a committee on any specific issue.

Recommendation

4. The Committee is invited to consider the latest issue of the Brussels Bulletin.

Committee Clerk November 2009

1

ISSUE 33 OCTOBER 2009

IN THIS ISSUE:

News NEWS IN BRIEF Heads of Government Council Future of Treaty of Lisbon Caretaker Commission Heads of Government Council The Next Commission Heads of Government will meet in Brussels, Treaty of Lisbon: new roles 29 – 30 October 2009. The agenda will Stockholm Programme focus on the Treaty of Lisbon and Other News implications for the institutions, climate

change and the financial crisis. Upcoming meetings & events Future of the Treaty of Lisbon Following events in Ireland and Poland, the Contact details Czech Republic remains the only member state yet to ratify. The Euro-sceptic President Václav Klaus has indicated that he cannot sign the document until the Czech Treaty of Lisbon: new roles Constitutional Court has addressed all The Treaty of Lisbon will introduce two new outstanding issues. In addition, he roles; a permanent President of the introduced a new demand; a guarantee that European Council and a High Czech property rights will be protected. Representative for Foreign Affairs and Security Policy. The criteria for selection Caretaker Commission and the potential Candidates are In light of the Czech situation, options are considered in Appendix II. being explored to extend the mandate of the current Commission, and to mandate a new Stockholm Programme Commission under the Treaty of Nice. The Swedish Presidency of the Council has published its proposals in the field of The next Commission Freedom, Security & Justice, to be known The new College is expected to take office in as the ‘Stockholm Programme’ (16 January 2009. The likely candidate October 2009). The list of priorities is Commissioners are presented in Appendix I. considered in Appendix III.

BRUSSELS BULLETIN

2

EU HEADS OF GOVERNMENT had decided that each Member State COUNCIL should have its own Commissioner, and Proposal the Council Secretariat was currently N/A ensuring that the decision was legally legitimate. Current status The Heads of Government summit will Climate Change take place in Brussels 29 – 30 October Malmström stated that climate change 2009. would be the main issue at the European Council and she reported that the What’s happening? ECOFIN meeting of 20 October 2009 The Swedish Minister for European had included a long discussion on a Affairs Cecilia Malmström outlined the financing package but with no agenda for the upcoming Heads of resolution, necessitating a further Government summit during a plenary discussion at the summit. She also session in the European Parliament (21 noted that the Environment Council (22 October 2009). The Minister said that October 2009) had agreed a further the agenda will focus on the future of reduction in emissions for airplanes the Treaty of Lisbon and the necessary (10%) and sea transport (20%) and insititutional changes, climate change recognised the importance of the and the financial crisis. inclusion of measures to reduce deforestation within a Copenhagen Treaty of Lisbon (see below for full agreement. discussion)

Malmström stated that only the Czech Financial crisis Republic had yet to ratify the Treaty, Malmström noted that progress had and that discussions in the Council would been made in setting up the body very much depend upon the situation in responsible for the supervision of the Czech Republic. financial markets (including three She stated that the Council will outline committees with responsibility for banks, the actions necessary to prepare for the securities and insurance respectively), entry into force of the Treaty of Lisbon. and a legislative proposal had been put A report on the situation would be forward by the Commission at the end of produced by the Presidency to describe September 2009. She stated that she the status of preparations. This report hoped agreement could be secured on will include a survey of Member States’ this issue by the end of 2009. views on the 'European External Action Service' (EEAS), its funding, legal status, FUTURE OF THE TREATY OF LISBON staffing, etc. A proposal on how the Proposal EEAS would function could then emerge The Lisbon (Reform) Treaty as soon as the Treaty enters into force, to be adopted by Council in the coming Current status months. Twenty-six of the twenty-seven member states have now ratified the Treaty of The Council would also look at how best Lisbon. The only obstacle to full to appoint the new Commission. ratification is the signature of the Czech Malmström confirmed that the Council President.

BRUSSELS BULLETIN

3

What’s happening? Fredrik Reinfeldt spoke with President Some 67% of Irish voters supported the Klaus in an attempt to expedite the Treaty of Lisbon in the second process (7 October 2009). However, referendum on the Treaty staged by the the attempts failed when President Klaus country, paving the way for ratification announced that in addition to the (2 October 2009). Following this endorsement of the Constitutional Court endorsement, President Lech Kaczyński he would require a guarantee appended of Poland, representing one of the two to the Treaty to prevent the potential remaining EU member states not to have risk of ‘property’ claims by Germans ratified, signed the Treaty in a ceremony expelled from Czechoslovakia after in Warsaw (10 October 2009). World War Two (which form part of the Czech legal system known as the Beneš The moves in Ireland and Poland leave Decrees). The President of the Czech the Czech Republic the only EU member Republic has subsequently let it be state not to have ratified the document. known that such a feat could only Both houses of the Czech Parliament seriously be achieved by opting out of have endorsed the Treaty. However the Charter of Fundamental Rights (opt ratification of the Treaty must await the outs similar to those previously secured signature of the Czech President Václav by the UK and Poland). Klaus. The demand for additional A group of Euro-sceptic senators, close guarantees/opt outs at this stage has to President Klaus, laid two motions caused consternation in Brussels. before the constitutional Court of the Diplomats have stated that it is Czech Republic, questioning both the technically feasible for the Czech process whereby the chambers of the Government (not President Klaus) to ask Czech Parliament endorsed the Treaty, the EU’s 26 leaders to approve a and whether the Treaty is in conformity ‘political declaration’ which could be with Czech law. These motions have attached to the Treaty (which could provided President Klaus with a rationale happen at the upcoming summit, 29 – to delay signing the Treaty, with the 30 October 2009. (Such a declaration President declaring that the would avoid any possibility of re-opening constitutional process must be negotiations on the text of the Treaty completed before he can act. itself). However, the prospect of The first motion, asserting that the offering an opt-out on the Charter of process of endorsement of the Treaty in Fundamental Rights is less likely. the two chambers of the Parliament was Although the Czech Government not in conformity with Czech law was opposes the actions of President Klaus dismissed by the Court on 6 October and believes his fears to have no 2009. The first hearing on the second validity, the Czech Prime Minister Jan challenge is expected on 27 October Fischer has stated that an ad-hoc group 2009. will work ‘very hard’ on a text that would Such moves have resulted in much formalise any additional conditions. frustration in Brussels. In an endeavour Swedish Prime Minister Reinfeldt stated to apply pressure to the Czech that President Klaus informed him that President, the Swedish Prime Minister he, ‘must await the Constitutional Court

BRUSSELS BULLETIN

4

process first, then he will clarify [the the uncertainties introduced by the wording of any required Czech issues, the Heads of Government guarantees/conditions]’. However, aide summit (29 – 30 October 2009) is to the President Ladislav Jakl stated expected to extend the term of the that, ‘The president will not be satisfied current Commission. Although the by any declaration, but only guarantees length of the extension remains unclear, for every citizen. For him, this condition it is likely to be extended until at least is fundamental, necessary, January 2010. It is also widely accepted unbreachable.’ that extending the mandate of the Commission could only be a temporary (A further development, following the solution. Czech Presidents suggestion of securing an opt out from the Charter of One option being explored in Brussels is Fundamental Rights, was voiced by the to opt for a Commission under the Slovak Prime Minister Robert Fico who Treaty of Nice (which stipulates that stated that, ‘Slovakia, like the Czech there must be fewer Commissioners Republic, is the successor of than there are member states). The Czechoslovakia, and the Beneš Decrees formula currently being discussed is are part of our legal system. The Treaty termed ‘26 + 1’, where 26 member of Lisbon cannot be allowed to give states would have commissioners while different legal certainties to two Javier Solana of Spain remains EU High successor states in respect of the Representative for Common Foreign & Decrees’ (18 October 2009). Security Policy. Talk of depriving the Consequently Slovakia might Czech Republic of a Commissioner is (reluctantly) follow the Czechs in their impossible, since the incoming College of demand of an opt-out from the Treaty of Commissioners requires the unanimous Lisbon’s Charter of Fundamental Rights). endorsement of the Council.

The matter will be discussed at the upcoming Heads of Government summit in Brussels (29 – 30 October 2009). THE NEXT COMMISSION Proposal N/A

CARETAKER COMMISSION Proposal Current status N/A Although there remains considerable uncertainty regarding the date when the Current status next Commission will take office, there is already significant speculation about the The uncertainties introduced by the Czech situation will necessitate revision composition of the new College. of the processes of establishing the next Commission. What’s happening? The selection of the new College of Commissioners is always a complicated What’s happening? The mandate of the current Commission political process, and will be more will expire on 31 October 2009. Given fraught this year because of the political issues outlined above. The current

BRUSSELS BULLETIN

5

Commission will remain in office until at endorsement of the College takes place, least January 2010. early in the New Year.

The first opportunity for discussion on Details of possible change in the College the new Commission candidates will take of Commissioners are outlined in place at the EU Heads of Government Appendix I. meeting scheduled for 29 – 30 October 2009. The summit is expected to endorse the nominations from the TREATY OF LISBON: NEW ROLES member states. Thereafter Commission Proposal President Barroso will begin to construct The Lisbon (Reform) Treaty his College. There is expected to be a re-configuration of the portfolios, with a What’s happening? number of extant roles being If the Treaty of Lisbon comes into force, revised/eliminated and new roles being two new positions will be created; created. President of the European Council and High Representative of the Union for Before his reappointment, Barroso Foreign Affairs and Security Policy/Vice confirmed that he envisaged a President of the Commission. commissioner responsible for justice, fundamental rights and civil liberties, including citizens' and minority rights. ‘President of the EU’ In addition, Barroso said that he Article 9B of the Treaty of Lisbon details the role of the President: envisaged a Commissioner for Internal Affairs and Migration (separated from 5. The European Council shall elect its the current JHA role), and another for President, by a qualified majority, for a term Climate Action (which may include the of two and a half years, renewable once. In environment more generally within its the event of an impediment or serious scope). misconduct, the European Council can end the President's term of office in accordance There is also speculation about the with the same procedure. creation of a new role to lead EU 6. The President of the European Council: engagement with ‘Digital Issues’ to (a) shall chair it and drive forward its work; replace the current ‘information society’ (b) shall ensure the preparation and role. Given the serious economic issues continuity of the work of the European unfolding on a global scale, there is also Council in cooperation with the President of speculation on the creation of a role the Commission, and on the basis of the responsible for EU economic actions. work of the General Affairs Council; Finally there is talk of a Culture (c) shall endeavour to facilitate cohesion and consensus within the European Council, and; Commissioner, which may subsume the (d) shall present a report to the European current multi-lingualism portfolio. Parliament after each of the meetings of the European Council. Once the Commission President has decided on the allocation of portfolios, a The President of the European Council shall, series of hearings will take place in the at his level and in that capacity, ensure the Parliament (likely to commence in the external representation of the Union on first week of December 2009) with the issues concerning its common foreign and relevant committees interrogating the security policy, without prejudice to the Commissioners-designate before a final powers of the High Representative of the

BRUSSELS BULLETIN

6

Union for Foreign Affairs and Security Policy. proposals to the development of that The President of the European Council shall policy, which he shall carry out as not hold a national office. mandated by the Council. The same shall apply to the common security and No details are included on how the defence policy. President should be chosen. As a result, 3. The High Representative shall preside there is much speculation on who will over the Foreign Affairs Council. secure elevation to the post, how such a 4. The High Representative shall be one post will interact with the existing of the Vice-Presidents of the structures, and on the scale and scope Commission. He shall ensure the of the role. consistency of the Union's external action. He shall be responsible within the Regarding the selection of a potential Commission for responsibilities candidate, it has been suggested that a incumbent on it in external relations and number of unwritten criteria may be for coordinating other aspects of the applied, including nationality, Union's external action. geography, size of home country, Just as with the role of President, the political affiliation, facility with languages High Representative must necessarily (with French & English being seen as meet the criteria outlined above. There essential), gender and track record on seems to be a demand within the centre European affairs. Other factors such as right groupings to secure a candidate for coming from a member of the Euro zone the role of the President and there is or the Schengen area are also thought strong speculation that the role of High to be determinants. representative will go to a socialist. Consideration may also be given to the political balance between the holders of the two new roles, the Commission ‘STOCKHOLM’ (JUSTICE) President and the political balance in the PROGRAMME European Parliament. Proposal

At present the potential candidates seem to fall into one of two groups, either high Current status profile, charismatic ‘leaders’ or low key, Sweden as President of the EU Council diplomatic ‘business managers’. published the first draft of the ‘Stockholm’ Programme, a new multi- High Representative for Foreign Affairs annual programme establishing general Article 9E of the Treaty of Lisbon details priorities and political goals in the area the role of the High Representative: Freedom, Security & Justice (FSJ) (16 October 2009). 1. The European Council, acting by a qualified majority, with the agreement of What’s happening? the President of the Commission, shall The current FSJ agenda, the Hague appoint the High Representative of the Union for Foreign Affairs and Security Programme, expires this year (2009). Policy. The European Council may end his In the summer, the Commission term of office by the same procedure. published a communication outlining its vision for the next five years in the FSJ 2. The High Representative shall conduct the Union's common foreign and security area (10 June 2009). (The policy. He shall contribute by his Communication can be read here).

BRUSSELS BULLETIN

7

Affairs (LIBE), Legal Affairs (JURI) and The Commission proposal centred Constitutional Affairs Committees around 4 policy priorities: (AFCO) met to discuss the Stockholm • Promoting citizens’ rights (focusing Programme (a meeting to which primarily upon the Charter of members of national parliaments were Fundamental Rights and Data also invited) (8 October 2009). The Protection). three committees discussed a resolution • Making life easier (consolidating the on the Stockholm Programme that had EU justice area by the further been drafted by rapporteurs from each removal of barriers to the recognition of the committees. of legal acts in other member states, facilitating people’s access to courts, The joint resolution can be accessed improving certainties around here.

contracts and encouraging co- Although FSJ remains an issue reserved operation between legal to Council, if the Treaty of Lisbon is professionals. ratified the views of joint committees will • Protecting citizens (developing a carry greater weight under the domestic security strategy that Parliament’s new powers of co-decision. strengthens police co-operation, with greater efforts to combat organised The next joint meeting will take place on crime and terrorism). 12 November 2009, followed by the • Promoting a more integrated society Joint Parliamentary Meeting (JPM) with for the citizen (introducing a common national parliaments on 16-17 policy on immigration and asylum November 2009 and a plenary vote on which offers legal migrants a clear the resolution during the week of 23 and uniform status, and shares the November 2009. burden of hosting refugees). The programme is expected to be

adopted by the Council at the December Sweden, in its capacity as President of Heads of Government summit (17 – 18 the Council, published its draft December 2009). recommendations for the FSJ programme, to be known as the

Stockholm Programme (16 October OTHER NEWS 2009). The full programme can be Dairy farming. Following a series of accessed here. Details of the key protests on the streets of Brussels, the proposals are detailed in Appendix III European Commission has agreed to below. allocate an additional €280m to help The Council has now requested that the dairy farmers (19 October 2009). The Commission develop an action plan to proposed funding will come from the EU facilitate adoption and implementation of 2010 budget and will be distributed the Stockholm Programme during 2010. among member states according to their The Council also envisages a mid-term production within the limits of their review of the programme in June 2012. quotas. (The allocation has been strongly opposed by the UK In a related matter, a joint meeting of Government.) the European Parliament’s Committees on Civil Liberties, Justice and Home

BRUSSELS BULLETIN

8

Mariann Fischer Boel, Agriculture Strategic Energy Technology Plan Commissioner stated that, ‘Member (SET Plan). The Commission published states have been plucking off my last proposals to fund the SET Plan (7 feather.’ She added, ‘There will be no October 2009). (Full details of the possibility for any delegation to come 2007 plan can be found here). The and ask for more money now. And I say financing plan, which was originally due this as I see some other sectors of out last year, was partly delayed due to agriculture facing some problems.’ the financial crisis.

Carbon Capture & Storage (CCS). The Commission has called for the The European Commission named six energy research budget to be increased CCS projects that will receive a share of to over €60b over the next ten years. the €1.05b of European funding (1 Full details of the funding proposals can October 2009). The selected be found here. The plan allocates: demonstration projects will receive o €6b for research into wind energy, funding to develop the technology used to help fund offshore to trap CO2 emissions from power plants developments where winds are and industrial installations burning fossil stronger fuels. The Hatfield power plant in the o €16b for research into solar north of England secured funding while energy to help develop new Scotland’s Longannet project did not. photovoltaic concepts and large

Hatfield, together with Vattenfall's industrial concentrating solar Jaenschwalde plant in Germany, power Endesa's Compostilla plant in Spain, the o €9b for research into bioenergy Maasvlakte plant in the Netherlands and o €2b for research into the Belchatow in Poland will each receive up integration of renewables into the to €180m, while Porto Tolle in Italy will network €2b for research into electricity receive €100m. A French CO2 transport o project was dropped from the list as it grids to ensure that half of the did not meet all the requirements. networks can operate along a ‘smart grid’ principle The proposals will now go before the o €13b has been allocated for CCS European Parliament for endorsement. demonstration projects (see above) EIB energy loans. The European o €7b has been allocated to nuclear Investment Bank (EIB) awarded its first research to put the ‘fourth loan of €110m to the Ireland-UK generation’ into operation interconnector, which will see a cable o €11b will be allocated to the laid between Ireland & Wales (28 'Smart Cities' project to address September 2009). The cable will issues of energy efficiency. connect the Irish electricity grid with the (Between 25 and 30 cities are to rest of Europe and help secure Ireland’s be upgraded with low-carbon energy supply as well as facilitate houses and transport so that they competition. The interconnector, which emit 40% less greenhouse gas will cost around €601m in total, is due to emissions in 2020 than they did in be completed in 2012. 1990).

BRUSSELS BULLETIN

9

Integrated Pollution Prevention and (9 October 2009). A number of issues Control (IPPC) Directive. The original emerged including the importance of the 1996 Directive introduced a permit subsidiarity principle in addressing system to prevent/limit pollution from national infrastructure planning and large-scale industrial installations. financing, the need to develop a ‘viable Following concerns about widespread and sustainable financing mechanisms manipulation of permit allocation by for new infrastructure’, the different national authorities, the directive is situation of the new member states, and currently undergoing revision. The the need for better integration of all revised directive combines seven modes of transport. existing EU air pollution laws, and will The Transport Council is expected to tighten permit requirements and adopt conclusions on the future of introduce new national ceilings for NOx, transport at its 17 – 18 December SO2 and dust. 2009 meeting.

The Parliament adopted a first-reading position (10 March 2009), which Financial crisis – Parliament inquiry. sought to introduce a ‘safety net’ The European Parliament has instituted involving legally-binding minimum a new committee to investigate the emission limit values in order to avoid financial crisis (15 October 2009). widespread exemptions. Political Details of the committee including its agreement was reached on the Directive terms of reference can be accessed in Council (25 June 2009), providing here. The chair of the Committee is national authorities a transitional period Wolf Klinz MEP. The committee will have for implementing the directive (up to no legislative locus but will make 2020). recommendations to the European

The Environment Committee of the institutions at the end of its 12-month Parliament is currently debating whether mandate. Klinz has said that the committee will attempt to draw on a CO2 should be added to the list of spectrum of views and would not allow pollutants (CO2 pollution is currently controlled via the EU Emissions trading itself to be influenced only by ‘so-called Scheme, EU-ETS). The rapporteur on financial experts or representatives of financial institutions’. the directive, Holger Krahmer MEP, is troubled by this proposal, believing that Financing climate change. EU it would introduce conflict with the EU Finance Ministers were unable to reach ETS, and almost certainly be vetoed by agreement on how much funding should Council. be provided to developing countries to help them address climate change issues Spain hopes to conclude the debate on (22 October 2009). The issue is likely the IPPC directive during its Presidency to be one of the most important of the Council (Jan – Jun 2010). addressed during the UN Climate

Change Summit scheduled for EU Transport policy. Following the December 2009. The issue will now be publication of the Commission’s vision discussed by the EU Heads of for EU transport post 2010 (25 June Government at their autumn summit 2009; which can be accessed here), the (29 – 30 October 2009). Transport Council held its first discussion

BRUSSELS BULLETIN

10

Fisheries Control Regulation. The Fisheries Council reached agreement on the Fisheries Control Regulation (19 – 20 October 2009). It will now come into force on 1 January 2010. Delays have been agreed for a number of articles to enable Member States to be fully prepared to implement all the measures. Ministers resolved the final outstanding issues, including greater harmonisation of sanctions, a new penalty points system, a payback system for overfished quotas and provisions to allow for the suspension of Community assistance in the event of non-compliance by Member States with the agreed control provisions. Furthermore, it was agreed that, for now, recreational catches will not be counted against national quotas.

The new fisheries points system works much like the system of points on a driving licence. For each offence, fishermen gain points (e.g. using small- mesh nets to trap extra fish or fishing in closed seasons). Once a certain number of points have been acquired the fishermen would lose their right to fish in EU waters for a given period. After five serious infractions, fishermen would risk losing their licences permanently.

The control regulation also reduces the margin fishermen are given for over- fishing from 20% to 10%.

BRUSSELS BULLETIN

11

Appendix I Potential changes in the College of Commissioners

Intelligence obtained from coverage reported in the European Voice and the EU Observer, in Brussels.

Country Current Potential changes Commissioner Austria Benita Ferrero- Ferrero-Waldner is not expected to be re-appointed. Waldner The favoured candidate is Wilhelm Molterer (former Finance External Relations Minister) & European

Neighbourhood The relationship between this portfolio and the soon to be Policy established position of High Representative for Foreign Affairs and Security Policy remains to be clarified.

Belgium Karel de Gucht De Gucht expected to be re-appointed.

Development & Not expected to retain portfolio. Humanitarian Aid Bulgaria Meglena Kuneva Kuneva will stand down. Her replacement will be Roumyana Zheleva (current Foreign Affairs Minister). Consumer Protection Cyprus Androulla Vassiliou Vassiliou is expected to be re-appointed, and is expected to retain portfolio. Health Czech Vladimír Špidla The Czech Government is expected to withhold the name of its Republic candidate until after the June 2010 elections. Employment, Social Affairs & Špidla may be re-appointed, although there are other candidates Equal including Stefan Fule (Minister for European Affairs). Opportunities Denmark Mariann Fischer Mariann Fischer Boel is to stand down. Boel Potential Danish candidates include Birthe Rønn Hornbech Agriculture & Rural (current Immigration Minister), Ulla Tørnæs (Minister for Development Development Co-operation, and Eva Kjer Hansen (Agriculture Minister).

Romania has expressed a strong interest in this portfolio. Estonia Siim Kallas Re-appointed by the Estonian government (17 September 2009). Vice-President

Administrative Expected to retain portfolio. Affairs, Audit & Anti-Fraud Finland Olli Rehn Rehn has been re-appointed by Finnish Government

Enlargement Not expected to retain portfolio. France Jacques Barrot Barrot, despite announcing his willingness to serve another term, is likely to be replaced by current French Agriculture Minister Vice-President Michel Barnier (EPP). Justice, Freedom The Netherlands has already begun to lobby to secure one of the and Security reformed justice portfolios

BRUSSELS BULLETIN

12

Germany Günter Verheugen Verheugen has served two terms and will step down.

Vice-President Potential candidates from Germany include CDU General Enterprise and Secretary Peter Hintze and European Socialist group leader in the Industry European Parliament Martin Schulz (PES). Greece Stavros Dimas Dimas may be re-nominated by Greece, although change in Government in Athens may bring forward a socialist candidate Environment (e.g. Stavros Lambrinidis MEP).

Dimas has expressed an interest both in returning and retaining the environment portfolio. Hungary László Kovacs Kovacs is not expected to be re-appointed.

Taxation & Two Hungarian candidates have emerged Gábor Iván, (currently Customs Union responsible for the preparations for Hungary's EU presidency in 2011) and János Veres (former finance minister). Ireland Charlie McCreevy McCreevy has announced that he will stand down.

Internal Market & A number of Irish candidates have emerged including former PM Services John Bruton, former President of the European Parliament Pat Cox, and serving ministers Mary Harney, and Noel Dempsey.

France has expressed a strong interest in securing the portfolio. Italy Antonio Tajani Tajani is expected to be re-appointed.

Vice-President Expected to retain portfolio. Transport Latvia Andris Piebalgs Piebalgs is expected to be re-appointed although he is unlikely to retain his portfolio. Energy The relationship between the energy portfolio and the new Climate action brief remains unclear. Lithuania Algirdas Šemeta Šemeta recently replaced Dalia Grybauskaité (after she became President of Lithuania). She is expected to be re-appointed and Financial to retain her portfolio. Programming and Budget Luxembourg Viviane Reding Reding is expected to serve for a third term.

Information Expected to retain reformed ‘digital’ portfolio. Society & Media Commissioner Malta Joe Borg Borg has expressed interest in securing re-appointment, and would be expected to retain portfolio. Maritime Affairs & Fisheries Netherlands Neelie Kroes Kroes is not expected to be reappointed.

Competition Dutch candidates include Hirsch Ballin (Justice Minister), Maria van der Hoeven (Finance Minister), Cees Veerman (former Agriculture Minister, Gerda Verburg (current Agriculture Minister), Yvonne van Rooy (former Secretary of State) and Clémence Ross (former Secretary of State)

Netherlands is not expected to retain the portfolio.

BRUSSELS BULLETIN

13

Poland Pawel Samicki Pawel Samecki was recently appointed to fill vacancy following election of Danuta Hübner to the European Parliament. Regional Policy Likely Polish Commissioner-designate to be Janusz Lewandowski MEP of the ruling Civic Platform party. Portugal José Manuel Reappointed Barroso

President Romania Leonard Orban Orban will stand down. His replacement is to be Dacian Ciolos (former Agriculture Minister). Multilingualism Romania is expected to push hard to gain the Agriculture portfolio. Slovakia Ján Figel Slovakia has nominated its Permanent Representative to the EU Maroš Šefčovič to succeed Figel. Education, Training, Culture & Youth Slovenia Janez Potočnik Potočnik is expected to be re-appointed. He may retain his portfolio Science & Research Spain Joaquín Almunia There is speculation that Almunia will return to Spain to become finance minister. Economic & Monetary Affairs Spanish MEP López Aguilar, (chair of the Civil Liberties Committee) may emerge as Spanish Commissioner. Sweden Margot Wallström Wallström has served two terms and will step down.

Vice-President Potential candidates from Sweden include Gunilla Carlsson (Current Minister for Development Co-operation), Cecilia Institutional Malmström (current Minister for European Affairs) and Carl Bildt Relations and (former Swedish PM). Communication Strategy Gunilla Carlsson is being strongly touted as the new development commissioner. UK Catherine Ashton Ashton is expected to be re-appointed.

Trade Suggestions that Geoff Hoon MP might be appointed seem to have faded.

BRUSSELS BULLETIN

14

Appendix II Potential candidates for President of the European Council

Bertie Ahern Paavo Lipponen Former Irish PM Former Finnish PM Jan Peter Balkenende Mary Robinson Dutch PM Former President of Ireland Tony Blair Wolfgang Schüssel former British PM, Former Austrian Chancellor current Middle East Peace Envoy Felipe González Guy Verhofstadt Former Spanish PM Former Belgian PM Jean-Claude Juncker Luxembourg PM

Appendix III The Stockholm Programme: priorities

FUNDAMENTAL RIGHTS General principles • Proposal on the accession of the EU to the European Convention on Human Rights. • Strengthen methodology for systematic monitoring of compliance with the Convention and the Charter of Fundamental Rights.

Racism & Xenophobia • report on the transposition of the 2008 Framework Decision on racism and xenophobia (by 28 November 2013). • ensure financing programmes are utilised to combat racism and xenophobia. Victims of Crime • Proposal on a strategy to ensure fulfilment of the rights of and improve support for persons who fall victim to crime. • Proposal on the protection of the rights of the individual in criminal proceedings. Protection of Personal Data • Proposal for further legislative and non-legislative initiatives to maintain the effective application of data protection regime in the EU. • Explore possibility of introducing a European certification scheme for ‘privacy-aware’ technologies, products and services. MUTUAL RECOGNITION Criminal law • Proposal for a comprehensive legal instrument to replace all the existing instruments in the area of mutual recognition of judgements and decisions of a judicial nature, including the Framework Decision on the European Evidence Warrant (covering all types of evidence, including orders to hear persons by means of videoconferencing) and containing deadlines for enforcement and limiting the grounds for refusal. • Explore the use of disqualification in Member States and introduce a proposal for a programme of measures. • Launch preparatory work on model standard provisions in criminal law, to include general criminalising principles. • Explore possibility of using the existing programmes to finance pilot schemes in the Member States to test alternatives to imprisonment. (cont’d)

BRUSSELS BULLETIN

15

• Proposals for improving the efficiency of the enforcement of judgements regarding bank accounts and debtors’ assets (based on 2006 & 2008 Green Papers). • Proposal on combating sexual abuse, sexual exploitation of children and child pornography.

Civil law • Assess whether the safeguards required to accompany the abolition of exequatur need to be streamlined and whether there are grounds for simplification. • Report on the functioning of the EU procedural law across borders, and thereafter adopt a proposal to ensure Community-level consistency. • Establish a set of standard rules of civil procedure on matters such documents, the taking of evidence, review procedures and enforcement, appropriate. Communication • Implement an e-Justice action plan. • Facilitate electronic communication of legal proceedings, e.g., standard forms available through the e-Justice portal. • Examine possibility of dispensing with the formalities for the legalisation of authentic documents between Member States. Training • Ensure that at least half of EU judges and prosecutors have by 2015 participated in a European training scheme or an exchange with another Member State. Implementation • Develop Handbooks on the use of mutual recognition instruments, with the aim of having a handbook for each of the instruments adopted by the end of the five-year period. SECURITY Internal Security • Define and codify a comprehensive EU internal security strategy. • Adopt an EU information management strategy. • Promote legislation that improves network security and allows faster reactions in the event of cyber-attacks. • Develop a Police Co-operation Code which would consolidate and simplify existing legislation. • Proposal on combating trafficking in human beings and protecting victims. • Establish an EU anti-people trafficking co-ordinator. • Proposals to protect and help victims of trafficking. • Develop an Immigration Code. • Continue to develop sensible and sensitive measures to address issues of asylum. Economic Crime • Enhance the capacity for financial investigations and combine all available instruments in fiscal, civil and criminal law. • Improve the fight against money laundering. • Improve the prosecution of tax evasion and private corruption and the misappropriation of funds. Drugs • Developing a successor to the current EU Drugs Strategy (2005-2012).

BRUSSELS BULLETIN

16

UPCOMING

EVENTS &

MEETINGS

November 2009 December 2009 10 ECOFIN (Finance) Council 1 Visit of the Scottish First 11 – 12 European Parliament mini- Minister and Europe Minister, plenary and St Andrews day Reception 18 – 20 E-government (informal 1 JHA Council Council) 2 -3 Committee of the Regions 19 – 20 Agriculture & Fisheries Council Plenary Session 20 ECOFIN Budget consideration 3 – 4 Competitiveness Council 23 – 27 European Parliament plenary 7 Energy Council session 8 ECOFIN (Finance) Council 26 – 27 Education, Youth & Culture 10 -11 Transport Council Council 14 – 15 Agriculture & Fisheries Council 30 Justice & Home Affairs Council 14 – 17 European Parliament plenary 30 – 1/12 Visit of the Scottish session Parliament’s European & 17 – 18 Heads of Government Council External Relations Committee 21 Environment Council

BRUSSELS BULLETIN

17

CONTACT DETAILS

Dr Ian Duncan Rond Point Schuman 6 B – 1040 Bruxelles

Tel: 0032 2282 8377 Fax: 0032 2282 8379

Email: [email protected]